Title: G.K.Reddy Versus DCIT
Decided on: 5th October, 2023
W.A.No.2393 of 2023 and C.M.P.Nos.20131 & 20133 of 2023
CORAM: Hon’ble Justices R. Mahadevan and Mohammed Shaffiq
Introduction
Taking into mind the assessee’s age and condition, the Madras High Court has ordered the income tax department to remove the attachment of his pension account.
Facts of the Case
The appellant/assessee filed a writ appeal with the court, effectively asking for instructions to the respondent/department to remove the attachment of an account held at the State Bank of India. A single judge already decided the writ case, ordering the government to lift the Order of Attachment with regard to the petitioner’s pension. The petitioner was prohibited by the court from withdrawing any additional funds from the linked account. It was made explicit that the only pension that could be withdrawn was the one that the pension-paying authority had credited.
Additionally, the response was instructed to provide the bank with the appropriate notification. The appeals that have been remanded back to the appellate commissioner must be resolved by the appellate commissioner as soon as possible, ideally within three months. The writ petitioner chose the writ appeal because he was upset with the judge’s aforementioned judgement.
Courts analysis and decision
The Court observed, “The bank account statement of the appellant makes it clear that the entire pension amount with arrears is lying in the bank account of the appellant. It is also seen that only a sum of Rs.1,35,000/- lying in that account relates to other amount.”
The division bench took into consideration the appellant’s age and condition and noted that one of the appellant’s bank accounts relates to the pension accruing account. As a temporary measure, the Court ordered that the bank account containing the pension amount be released from attachment so that the appellant can use it to meet his basic needs. Of the available amount of Rs. 15,48,893.66, Rs. 5,00,000 will be kept in the account, and the remaining balance will be transferred to the other account containing the pension amount, which is under attachment.
Consequently, this writ appeal was dismissed and the interim order that was previously issued on September 14, 2023, was altered.
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Written by- Aashi Narayan
